attAlongside AT&T's announcement of one million iPhone 4S activations today, the carrier also released its financial results for the third quarter of 2011. As Apple saw with customers holding off on iPhone purchases in anticipation of a new model, AT&T reported that it activated 2.7 million iPhones during the quarter, down from 3.6 million in each of the previous two quarters.

All told, AT&T sold 4.8 million smartphones during the quarter, and while AT&T's "activations" number is slightly different than its sales numbers due to the inclusion of previously-sold handsets being reactivated by new users, that difference is slight. As a result, the iPhone continues to represent more than half of AT&T's overall smartphone sales.

In the third quarter, the company sold 4.8 million smartphones, representing nearly two-thirds of postpaid device sales. Sales of Android devices more than doubled year over year, and almost half of all smartphone sales were non-iPhone devices. During the quarter, 2.7 million iPhones were activated.

AT&T notes that it has now passed 100 million subscribers and that its profit margins in wireless improved year-over-year, due in part to the lack of an iPhone launch just before or during the third quarter this year. AT&T's churn rate of customers leaving the carrier also decreased year-over-year, even for iPhone customers who had Verizon as a new iPhone option during this year's third quarter.

Overall, AT&T's revenues were down 0.3% compared to the year-ago quarter, with the carrier citing iPhone launch timing as one of the primary factors in that decrease.

Related Forum: iPhone

Top Rated Comments

DiamondMac Avatar
178 months ago


That's because AT&T is awesome!

AT&T ever plan on showing that awesomeness?
Score: 4 Votes (Like | Disagree)
Caliber26 Avatar
178 months ago
This really shouldn't come as a surprise to anyone. I mean, seriously, what other device out there would possibly outsell the iPhone?
Score: 3 Votes (Like | Disagree)
h0mi Avatar
178 months ago

All told, AT&T sold 4.8 million smartphones during the quarter, and while AT&T's "activations" number is slightly different than its sales numbers due to the inclusion of previously-sold handsets being reactivated by new users, that difference is slight. As a result, the iPhone continues to represent more than half of AT&T's overall smartphone sales.AT&T notes that it has now passed 100 million subscribers and that its profit margins in wireless improved year-over-year, due in part to the lack of an iPhone launch just before or during the third quarter this year. AT&T's churn rate of customers leaving the carrier also decreased year-over-year, even for iPhone customers who had Verizon as a new iPhone option during this year's third quarter.

This is also a good indication that while android has a larger marketshare (~35% to ~29% IIRC ... numbers are probably off a little) it's due in large part to having been available for so long on Verizon and Sprint while the iphone wasn't on either carrier until earlier this year & a week ago respectively.
Score: 2 Votes (Like | Disagree)
Caliber26 Avatar
178 months ago
I would have bought a 4s if I had an upgrade availible. I bought an iphone 4 last year but my upgrade date is feb 2012! I spend 250 bucks a month on out phones. Guess thats not enough. :confused:

That is interesting. I'm not sure what to say, then. I have a total of three lines and spend $180 every month (after my discount through my job). 700 min plan, unlimited texting + unlimited mobile-to-mobile, two lines with 2GB and one with 200MB. Granted, only my line was eligible for an upgrade this year even though two of my lines got iPhone-4 last year.

I'd call AT&T again and ask nicely about getting your date moved closer and point out what you're spending. They should at least do it for your main number.
Score: 2 Votes (Like | Disagree)
imotionb18 Avatar
178 months ago
I would have bought a 4s if I had an upgrade availible. I bought an iphone 4 last year but my upgrade date is feb 2012! I spend 250 bucks a month on out phones. Guess thats not enough. :confused:
Score: 2 Votes (Like | Disagree)
Caliber26 Avatar
178 months ago
Why is the real reason not being said why most are not upgrading.
ATT did not roll back upgrade dates. Most everyone that bought an iPhone 4 last year cannot but until Nov or later.

Yes ATT did let some upgrade early for some magically reason they cannot explain to me but many cannot.

I do not know many people that want to pay an extra 250 dollars, plus a 18 dollar fee on top of the 199, 299, or 399 price of the phone.

Wait a couple months and see how many sell with Apple, and I am sure Verizon also.

Discounted upgrades are offered to customers based on how much they spend on their wireless services. If you have the cheapest minute/text/data plans and are keeping your expenses to a minimum, then AT&T feels that they have not made enough money off of you, just yet, and will not give you another discounted device until they've made what they need to make, in order to recover the amount they subsidized when you got your phone for $199 (or $299, if you got the 32GB).

Basically, the more you spend, the sooner you're eligible for an upgrade. And this is also based on a per-line basis.
Score: 2 Votes (Like | Disagree)

Popular Stories

apple watch ultra 2 new black

Apple Watch Ultra 3 Finally Coming After Two-Year Hiatus

Monday June 16, 2025 8:45 am PDT by
Apple will finally deliver the Apple Watch Ultra 3 sometime this year, according to analyst Jeff Pu of GF Securities Hong Kong (via @jukanlosreve). The analyst expects both the Apple Watch Series 11 and Apple Watch Ultra 3 to arrive this year (likely alongside the new iPhone 17 lineup, if previous launches are anything to go by), according to his latest product roadmap shared with...
iPhone 17 Pro Blue Feature Tighter Crop

iPhone 17 Pro Launching in Three Months With These 12 New Features

Saturday June 14, 2025 5:45 pm PDT by
The iPhone 17 Pro and iPhone 17 Pro Max are three months away, and there are plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models as of June 2025:Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone X through iPhone 14 Pro have a...
apple wallet drivers license feature iPhone 15 pro

iPhone Driver's Licenses: These 17 U.S. States Offer Them or Will Later

Thursday June 19, 2025 11:28 am PDT by
In select U.S. states, residents can add their driver's license or state ID to the Wallet app on the iPhone and Apple Watch, providing a convenient and contactless way to display proof of identity or age at select airports and businesses, and in select apps. Unfortunately, this feature continues to roll out very slowly since it was announced in 2021, with only nine U.S. states and Puerto...
iOS 18

Apple Releases iOS 18.6 Public Beta

Wednesday June 18, 2025 10:24 am PDT by
Apple today seeded the first betas of upcoming iOS 18.6 and iPadOS 18.6 updates to public beta testers, with the betas coming just a few days after Apple provided the betas to developers. Testers who have signed up for beta updates through Apple's beta site can download iOS 18.6 and iPadOS 18.6 from the Settings app on a compatible device by going to General > Software Update. When the...
iOS 26 on Three iPhones

Apple Says iOS 26 Won't Be Available on These iPhone Models

Tuesday June 10, 2025 6:58 am PDT by
Apple this week revealed that iOS 26 is compatible with the iPhone 11 series and newer. That means that iOS 18 is the end of the road for the iPhone XS, iPhone XS Max, and iPhone XR, which were all released in 2018. However, those devices will continue to receive security updates for at least a few more years. iOS 26 is compatible with the following iPhone models: iPhone 16e iPhone...
new iphone lockscreen ios 26

iOS 26: Five Changes Coming to Your iPhone Lock Screen

Tuesday June 17, 2025 8:46 am PDT by
With iOS 26, Apple has made some additions to the iPhone Lock Screen that aim to make it more customizable than ever. Of course, things can always change before the software makes its way to the general iPhone-owning public, but here are five new things iOS 26 can do on the Lock Screen as of the current developer beta. Widgets Top or Bottom In iOS 18, the row of widgets on your Lock...
ios 26 call holding

iOS 26 Beta is Hiding a New Ringtone — Here's What It Sounds Like

Thursday June 19, 2025 7:25 pm PDT by
Apple is hiding a new ringtone within iOS 26. The new ringtone is an alternative version of the existing Reflection ringtone, which has been the default ringtone since the iPhone X was released in 2017. It was discovered within the code for the first developer beta of iOS 26, but it remains hidden, so you will not find it in the list of ringtones available in the Settings app for now. It...
apple watch ultra snow

6 Features Coming to the Apple Watch Ultra 3

Tuesday February 25, 2025 9:00 am PST by
The Apple Watch Ultra 3 is expected to launch later this year, arriving two years after the previous model with a series of improvements. While no noticeable design changes are expected for the third generation since the company tends to stick with the same Apple Watch design through three generations before changing it, there are a series of internal upgrades on the way. By the time the ...
Craig Federighi No

John Gruber Reacts to Apple Declining His Interview After His Criticism

Wednesday June 18, 2025 8:10 pm PDT by
Every year between 2015 and 2024, at least one Apple executive agreed to be interviewed by Daring Fireball's John Gruber for a special WWDC episode of his podcast, The Talk Show. Last year, for example, Apple's software engineering chief Craig Federighi, marketing chief Greg Joswiak, and top AI researcher John Giannandrea joined Gruber on stage at the California Theatre in San Jose to discuss...